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Protection from Unfair Trade Practices and False Advertising in Kerala

Source: Consumer Protection Act, 2019, ss. 2(47), 21; Advertising Standards Council of India (ASCI) Code; Competition Act, 2002

Reviewed by the Commoner Law Editorial Team. Sourced from Indian central (Union) law — Constitution of India, central Acts of Parliament, and Supreme Court decisions. State-level information reflects each state's own Acts and High Court rulings. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards

Indian Central Law

What is this right?

Indian law prohibits a wide range of unfair and deceptive practices by sellers and advertisers.

  • Unfair trade practices under CPA 2019 (s. 2(47)):
    • False representation of product quality, quantity, or standard.
    • Misleading price comparisons (false MRPs, fake discounts).
    • Deceptive offers and bait-and-switch advertising.
    • Offering gifts or prizes with a condition that purchasers must buy another product.
    • Hoarding or destroying goods to raise prices.
    • Charging excess over MRP on packaged goods.
  • Misleading advertisements: The CPA 2019 (s. 21) makes the endorser (celebrity or influencer) of a misleading advertisement also liable for penalties — ₹10 lakh fine (first offence); ₹50 lakh (second offence); prohibition from endorsing for up to 3 years.
  • ASCI: Self-regulatory body for advertising — complaints can be filed at ascionline.in; ASCI can ask advertisers to modify or withdraw misleading ads.
  • Competition Commission of India (CCI): Anti-competitive agreements and abuse of dominant position (e.g., platforms forcing exclusive deals on sellers) are investigated by CCI.

When does it apply?

  • A seller misrepresented a product's quality, quantity, or specifications.
  • You were lured by a fake discount or bait-and-switch offer.
  • You were charged more than the printed MRP on a packaged product.
  • An advertisement made false health or performance claims.

What to Do If a Seller or Advertiser in India Uses Misleading or Unfair Practices

  • Complain to the Consumer Commission under CPA 2019 — unfair trade practices are explicitly actionable; the Commission can order compensation and direct the trader to stop the practice.
  • File a complaint with ASCI online (ascionline.in) for false advertising — ASCI typically responds within 10 days and advertisers are required to address upheld complaints.
  • File a complaint with the National Consumer Helpline (1800-11-4000) — a quick way to report MRP violations.
  • For systematic overcharging or price-fixing, file a complaint with the CCI (cci.gov.in).

What should you NOT do?

  • Do not take unfair trade practices as "normal" — even small overcharges (MRP violations) are actionable; the Consumer Commission can award compensation disproportionate to the price difference to deter future violations.
  • Do not confuse the Consumer Commission with the CCI — the Commission handles individual disputes; CCI handles market-level competition issues.
Kerala Law

How Kerala differs from central law

Unfair trade practices in Kerala are addressed under the Consumer Protection Act, 2019, which defines unfair trade practices broadly to include false or misleading advertising, deceptive pricing, failing to issue bills or receipts, and not complying with product safety standards.

The Kerala Food Safety Department (Kerala FDA) is one of the most active state food safety authorities in India. It conducts regular inspections of food establishments, takes action against adulteration, and enforces the Food Safety and Standards Act, 2006 rigorously. The Kerala FDA has been particularly proactive in testing products sold online and taking action against misleading food labels.

The District Consumer Forums in Kerala actively hear complaints about unfair trade practices and have the power to award compensation, order product replacement or refund, and direct the trader to cease unfair practices. The Kerala State Consumer Disputes Redressal Commission has issued significant orders against unfair practices in the real estate, automobile, and healthcare sectors.

Additional Steps in Kerala

File a complaint about unfair trade practices at the District Consumer Forum through the e-Daakhil portal at edaakhil.nic.in. For food safety complaints, contact the Kerala Food Safety Commissioner at 0471-2335266. National Consumer Helpline: 1800-11-4000. For misleading advertisements, file a complaint with the Advertising Standards Council of India (ASCI) at ascionline.in.

Relevant Law: Consumer Protection Act, 2019, Sections 2(47) and 18; Food Safety and Standards Act, 2006

Common Questions

When does protection from unfair trade practices and false advertising apply?

A seller misrepresented a product's quality, quantity, or specifications.You were lured by a fake discount or bait-and-switch offer.You were charged more than the printed MRP on a packaged product.An advertisement made false health or performance claims.

What should I do if I was misled by false advertising or charged above MRP by a seller in India?

Complain to the Consumer Commission under CPA 2019 — unfair trade practices are explicitly actionable; the Commission can order compensation and direct the trader to stop the practice.File a complaint with ASCI online (ascionline.in) for false advertising — ASCI typically responds within 10 days and advertisers are required to address upheld complaints.File a complaint with the National Consumer Helpline (1800-11-4000) — a quick way to report MRP violations.For systematic overcharging or price-fixing, file a complaint with the CCI (cci.gov.in).

What mistakes should I avoid with protection from unfair trade practices and false advertising?

Do not take unfair trade practices as "normal" — even small overcharges (MRP violations) are actionable; the Consumer Commission can award compensation disproportionate to the price difference to deter future violations.Do not confuse the Consumer Commission with the CCI — the Commission handles individual disputes; CCI handles market-level competition issues.

Protection from Unfair Trade Practices and False Advertising in other states

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